In a letter to Chandy, Modi suggested since the state had achieved excellent progress under the scheme it could be used for Direct Cash Transfer for benefits under various schemes to the people.

"I am writing to you in the context of excellent progress made in rolling out the major initiative in financial inclusion, the Pradhan Mantri Jan Dhan Yojana," Modi said.

The Prime Minister said he was happy to note that Kerala had fully saturated with hundred per cent coverage of households with bank accounts.

"I take this opportunity to congratulate you and your team on achieving this important milestone," Modi said, adding the scheme "not only serves the socially laudable objective of financial inclusion but is also a growth enabler."

He said the programme would make the nation ready to embark on direct cash transfer to promote efficiency, good governance and transparency.

It would also enable every household to take advantage of the modern financial system, the Prime Minister added.